EPA is accepting applications to the 2023 CSB Rebate Program! Apply by January 31st, 2024 at 4pm ET. 

With funding from the Bipartisan Infrastructure Law, EPA’s Clean School Bus (CSB) Program provides $5billion over five years (FY 2022-2026) to replace existing school buses with zero-emission and low-emission models. Under the Program’s first funding opportunity, the 2022 CSB Rebates, EPA solicited applications for zero-emission and low-emission school buses and awarded up to $965 million to fund school bus replacements 

at nearly 400 schools. In Spring 2023, EPA opened a competitive grant funding program; EPA anticipates awarding at least $400 million under the 2023 CSB Grants Program Notice of Funding Opportunity (NOFO).EPA expects to announce the 2023 Grant Program selectees by early 2024. In Fall 2023, EPA opened the 2023CSB Rebates program; EPA expects to award at least $500 million in funding under the 2023 rebate program. EPA will continue to update this page with additional Clean School Bus Program funding information and educational resources. 

Rebate Funding 

On this page: 

  • 2023 Clean School Bus Rebates Overview 
  • Important Dates 
  • Supporting Documents 
  • Questions and Answers Document 
  • Eligible Applicants 
  • Eligible Buses and Infrastructure 
  • Available Funding 
  • Workforce Development 
  • Selection Process and Prioritization 

2023 Clean School Bus Rebates Overview Open 

The Bipartisan Infrastructure Law of 2021 authorizes EPA to offer rebates to replace existing school   buses with clean and zero-emission (ZE) models. The 2023 Clean School Bus (CSB) Rebates process  includes SAM.gov account registration, rebate application submission, review and selection by EPA, selectees will then submit purchase orders to request payment and then receive payment, which is followed by new bus delivery, existing bus replacement, and project close out. 

 

The program guidance and application process differ from prior EPA school bus rebate programs, so please review the summary of program requirements below and the detailed Program Guide before proceeding. 

Important Dates 

Date  Activity 
September 28, 2023 – January 31, 2024, 4:00 PM ET  2023 Clean School Bus (CSB) Rebates Application Period OPEN 
September 2023 – January 2024  Various Webinars on CSB Program. 
January 10, 2024, 4:00 PM ET  Final date to submit questions prior to the application period closing about the 2023 Rebates to cleanschoolbus@epa.gov. 
February 2024  EPA reviews rebate applications and begins the selection process. 
April 2024  EPA notifies applicants of selection status. Selectees can proceed with purchasing replacement buses and eligible charging infrastructure upon receipt of official selection notification. 
April 2024 – October 2024  Selectees submit Payment Request Forms with purchase orders demonstrating that new buses and eligible infrastructure have been ordered. 
April 2026  Project period deadline for selectees to receive new buses, install eligible infrastructure, replace existing buses, and submit Close Out Forms. 

Supporting Documents 

General Application Support Documents: 

Supplemental Application Forms: 

Additional Program Resources: 

Questions and Answers Document 

Novel questions submitted to CleanSchoolBus@epa.gov, including those from program webinars, will be added to this document. Please include “2023 CSB Rebate Question” in the subject line of your email. 

Eligible Applicants 

Public School Districts 

  • Local or State governmental entities responsible for: 
  • Providing school bus service to one or more public school systems; or  The purchase, lease, license, or contract for service of school buses; 
  • A public charter school district responsible for the purchase, lease, license, or contract for service of school buses for that charter school. 

Tribal Applicants 

  • Indian Tribes, Tribal Organizations, or Tribally Controlled Schools responsible for: 
  • providing school bus service for a Bureau of Indian Affairs (BIA) funded school; or  the purchase, lease, license, or contract for service of school buses. 

Third Parties 

  • Eligible contractors are for-profit, not-for-profit, or nonprofit entities that have the capacity to (1) sell, lease, license, or contract for service clean or ZE school buses or related charging or fueling infrastructure to school bus owners or (2) arrange financing for such a sale, lease, license, or contract for service. 
  • Nonprofit School Transportation Associations; or 
  • School bus dealers, original equipment manufacturers (OEMs), school bus service providers, and private school bus fleets that meet these criteria are eligible contractors. 

See “Section 2: Eligible Applicants” of the 2023 CSB Rebates Program Guide for additional eligibility details. 

A goal of the CSB Program is to provide opportunities for as many eligible applicants as possible to participate. Applicants who applied for previous CSB funding opportunities are able to apply for future CSB funding opportunities, so long as they are eligible under that funding opportunity; applicants must submit an application for each funding opportunity they are interested in. See Section 1 of the program guide to learn about the difference between CSB Program rebates and grants, and determine which funding program works best your situation. We understand that there may be questions about a school district’s eligibility to participate in the 2023 CSB Rebates. If interested applicants have questions about their eligibility after reviewing this webpage, the Program Guide, and the Q&A Document, they should contact cleanschoolbus@epa.gov with their specific question. 

Note: EPA intends to provide additional funding opportunities and your input will be valuable in helping us design those programs to be as inclusive and effective as possible. 

Eligible School Buses and Infrastructure 

Eligible Buses to be Replaced 

To be eligible for replacement, existing school buses must: 

  • Be vehicle model year 2010 or older diesel-powered school buses that will be scrapped if selected for funding. 
  • If a fleet has no eligible 2010 or older diesel school buses and is requesting zero-emission school bus replacements, the fleet can either: 
  • Scrap 2010 or older non-diesel internal combustion engine buses; or 
  • Scrap, sell, or donate 2011 or newer diesel or non-diesel internal combustion engine buses. 
  • Have a Gross Vehicle Weight Rating (GVWR) of 10,001 lbs. or more. 
  • Be operational at the time of application submission – able to start, move in all directions, and have all operational parts. 
  • Have provided bus service to a public school district for at least 3 days/week on average during the 2022/2023 school year at the time of applying, excluding emergency-related school closures.                                                                                                                                                                                                                                                                                                      EPA strongly encourages third-party applicants to replace existing buses that provided service to the public school district listed on the application, or another school district eligible for priority consideration, as listed in the Prioritized School Districts list. 

Eligible New Replacement Buses 

To be eligible as a replacement, new buses must: 

  • Have a battery-electric, CNG, or propane drivetrain. 
  • Biofuels will not be included as an eligible replacement technology for this funding opportunity. 
  • Be a new vehicle. 
  • Buses which have been converted to a battery-electric, propane, or CNG drivetrain after the first retail sale are not eligible for funding. 
  • The conversion of a bus to a battery-electric, propane, or CNG drivetrain is not eligible for funding. 
  • Be model year 2022 or newer. 
  • Have a Gross Vehicle Weight Rating (GVWR) of 10,001 lbs. or more. 
  • Be certified to conform with all applicable Federal Motor Vehicle Safety Standards (FMVSS). 
  • Be maintained, operated, insured, registered, and charged/fueled according to manufacturer recommendations and state requirements. 
  • Be equipped with an EPA certified engine if they are Propane or CNG fueled buses. 
  • Not be ordered prior to receiving official notification of selection for EPA funding. 
  • Be purchased, not leased or leased-to-own. 
  1. Serve the school district listed on the application for at least five years from the date of delivery, unless the award is to an eligible contractor and the contract with the school district ends before the end of the 5-year period, in which case those school buses may be operated by another local educational agency eligible for prioritization within the same state as the original local educational agency. 
  1. Not be manufactured, retrofitted with, or otherwise have installed, a power unit or other technology that creates air pollution within the school bus, such as an unvented diesel passenger heater. 
  • Externally vented, fuel-operated passenger heaters are allowed; however, data shows that the emissions from auxiliary heaters are still harmful. EPA strongly encourages applicants to consider alternative cold weather mitigation strategies (e.g., insulation of cabin and/or batteries, cabin and battery preconditioning) until other viable alternatives become available. 
  1. Not be purchased or otherwise subsidized with other federal funds. 
  • The total CSB rebate award funds and other eligible external funds allocated for the bus replacement(s) cannot exceed the cost of the replacement buses. 
  1. Upon request, be made available for inspection by EPA or its authorized representatives for 5 years from the date of delivery to verify the buses are serving their intended purpose. 
Existing Bus Fuel Type  Replacement Bus Fuel Type 
Propane  Compressed Natural Gas  Battery-Electric 
2010 or Older Diesel Bus       
2011 or Newer Diesel Bus*  X  X   
Gasoline Powered Bus*  X  X   
Propane Bus*  X  X   
Compressed Natural Gas Bus*  X  X   

*Can only be substituted if existing fleet does not have 2010 or older diesel buses available for scrappage; existing, non-diesel internal combustion engine buses that are 2010 or older must be scrapped; existing, non-diesel internal combustion engine buses that are 2011 or newer may be scrapped, sold, or donated. 

  • For a complete list of eligibility requirements for new buses, see “Section 3: Eligible School Buses and Infrastructure” of the Program Guide. 

Eligible Infrastructure 

 

Applicants applying for ZE buses are also eligible for funding for eligible infrastructure. EPA will provide funding for EV-related infrastructure installation and equipment from the electrical meter to the charging port of the bus. EPA funds must not be used for any infrastructure costs associated with work in front of the electrical meter (see figure above). 

For more information on eligible infrastructure expenses for ZE buses, see “Section 3: Eligible School Buses and Infrastructure” of the Program Guide. 

Available Funding 

  • Rebate applications can request funds for replacing up to 25 buses. 
  • For the 2023 CSB Rebates, EPA anticipates offering at least $500 million in total funding. EPA may adjust the total funding amount depending on demand and other considerations. 
  • School districts applying directly for funds may only submit one application to replace up to 25 buses; districts that contract with multiple private fleets may list more than one private fleet in their application. Other eligible applicants may submit multiple applications, but each application must be for buses serving a different school district. 
  • EPA will not fund multiple applications for bus replacements that will serve the same school district. 
  • The maximum rebate amount per bus is dependent on (1) the replacement bus fuel type, (2) the replacement bus size, and (3) whether the school district served by the buses is prioritized: 
  • Funding levels for ZE replacement buses include combined bus and EV charging infrastructure. Recipients have flexibility to determine the split between funding for the bus itself and the supporting infrastructure. 
  • Applicants are able to request up to $20,000 per bus in additional funds for ADA-compliant replacement buses equipped with wheelchair lifts. 
  • School districts in Alaska, Hawaii, Puerto Rico, U.S. Virgin Islands, Guam, American Samoa, and the Commonwealth of the Northern Mariana Islands, or third-party entities applying on their behalf, can be awarded up to an additional $20,000 per bus for increased shipping costs if selected for funding. 
School District Prioritization Status  Replacement Bus Fuel Type and Size 
ZE – Class 7+  ZE – Class 3-6  CNG – Class 7+  CNG – Class 3-6  Propane – Class 7+  Propane – Class 3-6 
Buses serving school districts that meet one or more prioritization criteria  Up to $345,000 (Bus+ Charging Infrastructure)  Up to $265,000 (Bus+ Charging Infrastructure)  Up to $45,000  Up to $30,000  Up to $35,000  Up to $30,000 
Buses serving other eligible school districts that are not prioritized  Up to $200,000 (Bus+ Charging Infrastructure)  Up to $145,000 (Bus+ Charging Infrastructure)  Up to $30,000  Up to $20,000  Up to $25,000  Up to $20,000 

*Funding levels above do not reflect EPA funding available for ADA-compliant wheelchair lifts, EPA funding for shipping costs to non-contiguous U.S. states and territories, nor IRA funding available through IRS-disbursed tax credits for EV bus and infrastructure purchases. 

  • Selectees may be eligible for Inflation Reduction Act (IRA) tax credits applicable to their bus and infrastructure purchases; namely, the Commercial Clean Vehicle Credit provides up to $40,000 for qualified commercial clean vehicles and the Alternative Fuel Vehicle Refueling Property Credit provides up to $100,000 for qualified charging and refueling infrastructure. Please see the Internal Revenue Service (IRS) website for more information on these credits. Any additional information regarding these credits will be shared on that website. If you have any questions, please refer to the IRS Complex Tax Topics webpage. The helplines below are also able to provide general information, but are not able to provide specific tax advice. 
  • IRS Helpline for Tax Paying Entities (private fleets, OEMs, bus dealers, eligible contractors, etc.): 800-829-4933 
  • IRS Helpline for Non-Tax Paying Entities (school districts, nonprofit school transportation associations, Tribal applicants, local government entities, etc.): 877-829-5500 

Workforce Development 

In the 2023 CSB Rebate Program, EPA funding can be used for costs associated with workforce training for drivers, mechanics, electricians, and other essential personnel. EPA encourages applicants to partner with their manufacturers, private fleets, local community colleges, labor unions, technical schools, and other education and training providers to provide necessary training and support. These services must be clearly identified with line-item expenses in the order document submitted to EPA outlined in Section 8 of the Program Guide. In addition, all applicants must attest in the application to the importance of workforce planning. Visit the Workforce Development and Training Resources webpage for a list of resources. 

Selection Process and Prioritization 

The Bipartisan Infrastructure Law of 2021 includes prioritization for some Clean School Bus applicants like high-need school districts, Rural school districts, Bureau of Indian Affairs-funded school districts, School districts that receive basic support payments for children who reside on Indian land. Applicants requesting funding for the replacement of school buses that serve a prioritized school district will be offered more funding per bus and receive preference in the selection process. Please refer to Sections 2 and 6 of the Program Guide for more information on prioritization criteria and the selection process. A list of prioritized school districts can be found in the Supporting Documents above. 

Start your 2023 CSB Rebate application. 

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